Iran’s New Tariff Scheme for Crypto Miners is Currently Awaiting Approval

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On July 21, The Financial Tribune reported that Iran’s Economic Commission has already finished drafting the new tariff scheme for crypto miners in the country. However, Homayoon Ha’eri, the Energy Minister, confirmed that the finalized draft has still to pass one stage before implementation.

The approval will come from the Cabinet of Iran, a governmental body that is composed of ministers and officials that are personally chosen by the Iranian president.

Although Ha’eri was not that generous about the pricing scopes of the new tariff scheme, the Energy Minister mentioned that it would be subjected to several market factors. One of these is the prices of fuel in the Persian Gulf.

Notably, Ali Bakhshi of Iran Electrical Industry Syndicate had proposed $0.07 per kW-hour for crypto miners. Currently, the electricity rate in Iran is very cheap, costing only $0.05 per kW-hour due to subsidies. Those in the industrial and agricultural sectors are enjoying an even lower electricity charge.

In simple context, the spokesman of the Energy Ministry’s power department, Mostafa Rajabi Mashhadi, stated that Bitcoin’s single production uses approximately $1,400 in government’s subsidies.

According to The Financial Tribune, the electricity used for mining a single Bitcoin can be compared to the amount of electricity being used by 24 buildings in the country’s capital in a year.

The news about the tariff scheme came hot on the heels of the Central Bank of Iran’s official announcement. According to the bank’s governor, Abdol Hemmati, the CBI is contemplating on the idea of legalizing crypto mining activities in the country. In accordance with the Energy Minister’s official statement, Hemmati mentioned that the final draft would require cryptocurrency miners to pay for the electricity charged according to the country’s export price.

Meanwhile, Jamal Arounaghi, the Deputy President of the Islamic Republic of Iran Customs Administration, clarified that importing crypto mining equipment is still prohibited since the agency has not yet issued a license. Cryptocurrency mining enthusiasts would still have to wait for the government’s final decision.

 

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